Expanding gap between the rich and poor
Posted on: 04/Oct/2014 2:31:01 PM
According to reports from UN-ESCAP, here has been an increasing growth of gap between the rich and poor in most Asia-Pacific regions. Major economies like India, China and Indonesia are currently facing this income inequality, say reports. The study was made with over 40 countries in Asia-Pacific region.
UN-ESCAP stands for United Nations – Economic and Social Commission for Asia and Pacific. The report from UN-ESCAP states that this widening of gap between the rich and poor has its consequences in multiple factors. Gini coefficient a measure of this kind of inequality between the rich and poor was identified to have increased from 30.8 in 1990s to 33.9 in 2000s in India. The same got increased from 32.4 to 42.1 in China and 29.2 to 38.1 in Indonesia.
However, the same coefficient faced a fall down in countries including Malaysia, Nepal, Thailand, Uzbekistan, Philippines, Kyrgyzstan and Cambodia.
Factors contributing to the increasing gap between poor and rich income groups are weaker labor market, low quality in education, inadequate social protection systems, and more.
